Member Info for skid35

Mickey,

Like most long term holders, including Miton (the only real institutional investor who backed consecutive rounds) and David Allen (who owned a disclosable amount) used the ridiculous trading late last year to sell a substantial proportion at a loss - but I am still a holder.

There used to be quite a tight register but all those who had been in ENET 2/3 years just sick of the, lets charitably say, "miscommunication of facts" from the CEO and CFO on the indian deals, the chinese deals, the trials, interest, orders round the corner etc means anything from ENET or DL really is not worth the paper it is written on.

The three H2 deals from last year are all deals from customers looking to protect their interest, not an endorsement of ENET.

Hull.

Go back 2/3/4 years and see what DL has stated how the company is aligned against his market, and then what he has actually achieved - on new products developed since IPO it is absolutely nothing, zero.

Looking back on my detailed notes when I have met David I now regard him as very naive and very deluded, probably the two worst characteristics when taken together in a CEO.

So the question is why believe him now, what has changed ?

ENET are no where in the FTTX market which is booming, so with solutions providers and vendors already aligned they have missed the boat.

From last years private investor meeting on no brainer UEP "we are in advanced discussions with four OEMS", clearly the low hanging fruit from last year came to nothing.

Hull.

Always important to look at who is doing well in edge platforms, have a look at supermicro share price movement and market cap over the last year with ENETs mirror share price. A company that executes 100% on a strategy based on the market opportunity.

These are the customers ENET should be licencing IP to.

Still a little concerning they are confused who their customers and who the decision makers are.

The 4k attendees, the 1k companies are frankly irrelevant - its the 120 exhibitors and partners that are key in side meetings. As I said before DLs black book should focus on less then 100, probably really only around 20 key people.

Arg.

I speak with a lot of people at work on this, one recently went to tokomak, on both the engineering and the science. All reckon mid 30s, US I would say is leading with recent advances.

No doubt the UK will be the brains here and then not have a clue on commercialisation.

Fire blade.

The sales cycles to contract are 12-24 months not five days.

And a chairman who does a little more than turn up for coffee and pastries and has to have a PI take over the agm to run it for him.

The key areas are results driven product marketing aligning products to markets, results driven (and expensive) sales people and a really hard nosed COO.

no - the style of the investor relations pack changed last year (with adjustments this year) two days after an email to the chair / fd / ceo from myself on 17th january 2023. this the final paragraph of a very long email.

"if someone asked me what represented ethernity networks i would point them to your most up to date company presentation from september 2021 situated on your investor relations site. september 2021, are you joking - getting on for 18 month old, factually incorrect and completely out of date. i put more effort in an hour on sunday night into the monthly powerpoint presentation i make to my team, why ? i have pride in myself and the organisation i work for and deep respect for the individuals who work for / along side me. this just says, excuse my french, you really just can't be ****d".

Hull.

- It is very hard for ENET to attract talent and it looks like he has the right background, but every tech sales / bd / marketing has just the most incredible CV in an "apprentice" way.

- If you look at an average tech company and the ratio of r&d to sg&a compared to ENET and youll realise ENET are way off the bd / sales resource levels required to manage pipeline, even with DL covering the 3 existing contractual relationships with $ attached to them. Really need to be very, very highly selective to focus on key customers / opportunities and not kiss a lot of frogs.

- ENET still has the problem of being taken out at very early stages of potential opportunities due to stability (personnel and financial), I think even and early purchasing screen would wipe out 75-90%.

- Even if they do contract the three (or four) contracts post IPO of post IPO products have proven a disaster - the Chinese OEM leading ENET up the path manufacturing product and not paying, the indian oem not getting near 10 units a year let alone 10k, and the israeli company agreeing to mutually break the contract. You have to ask are ENETS post IPO products competitive or even working.

Just seen the video, can't see what the fuss is about.

Whilst a better presenter than DL still incredible light on any detail on strategy and execution. No detail on pipeline, perhaps start with the "advanced discussions from 4 oems" from 13 months ago.

It sure how posters gain any independent verification of how ENET products stand in the market ?

Finally ENE T is not a "leading" supplier and doesn't have "vast experience".

Tricky mickey - boys / girls, your complete and total lack of any understanding of business development, pipeline management and contracts that ENET will go through is just a joy to behold, they a not trying to sell pick n mix in woolworths.

Please tell me the newsflow you expect, not in any detail just generally in products, timings and vague values.

I very much doubt it, probably a forward quarterly run rate of $150k between the two contract extensions RNSed in November - an RNS here really would be scrapping the barrel showing so little else to shout about.

Hull,

As usual with ENET since IPO it's show me the money.

They continue to be unable to convert anything of what they call pipeline, I would call vague enquiries, further into hard cash from post IPO products.

From an accounting perspective it's usual to take a prepayment to revenue on contract signature as the supplier has performed all of the obligations.

There must be repayment clauses in the contract in case the customer does not use the contracted volume. From this clearly a big discount for cash.

You have not stated the contract correctly. The customer does not pay in addition to the $300k upfront, it only pays when the $300k has been drawdown in the quarterly royalty reports - sometime in 2025.

Mickey. Its not making serious wonga though is it.

Near the end of Q1, opening backlog zero, new orders zero = no material revenue.

Mickey - do the maths?

You are equating the market cap of Tarana and extrapolating this bn $ + company at 2% back to either ENETS revenue, or market cap.

It really doesnt work like that.

Tricky,

If you've been here for a long time you would know that DL simply hasn't followed through on executing on what he calls "no brainer", "world class" products. Unfortunately the market for products simply doesn't share his view.

I remember DL stating to a group of PI " we know more than anyone in the world about telecoms" which he then repeated for emphasis - possibly the most stupid ever comment. Having worked with many world leading tech companies I have never heard such arrogance from a CEO (even those who are world leading). DL is arrogant and deluded, unfortunately with a chair who nods his head.

Decent CEOs I have found are slightly paranoid behind the bluster, always questioning what they can improve, what the competition are doing, focus on nps - in the face to face s with DL / MR I didn't get the impression of a decent leadership team.

Tricky - a great deal of misunderstanding in the way you have posted here.

Compatability is around protocols, not usage and there is suddenly not an fpga on the market which opens the market.

Intel, xilinx ext are already produced AI badged fpgas but a not a great deal different and everyone has access to these they are not ENE T unique. What you have interpreted as compatability from DLs ramblings is the benefit of an fpga vs asics, the main benefit of AI to network providers is the sheer increase in data volume which will need a reassessment of how the network can be used more efficiently without the same multiple of kit, energy usage etc.

From ENETs perspective they haven't got a toe hold in the market with their uep platforms (which they have been trying to sell for y ears) so why will AI change this ? Their solutions need to be far better than solutions from financially stable, well run companies for them to overcome a buyers risk premium using ENET.

As I've said previously a very unique rsu deal based on the circumstances enet is in especially as 1. it involves non employees 2. Quarterly exercise 3. three years.

The saving grace is the 1.5p which means they can't just keep driving the price lower with share issuance at a discount, however each quarter of they don't hit 1.5p it is rolled forward rather than most.

The chair should hold his head in shame taking these from shareholders.

As I said before it is more of a staff retention scheme than performance incentive scheme, and stops cash drain.

For newer posters you always think DL must have something round the corner, only to see an rns which is giving more shares out, contracts folding etc. The Chinese contracts being on a firm footing would take this to 2p.